Colliers Market Report Denmark 2023

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Retail - Colliers Market Report 2023

for home delivery, that is, largely the same concept as offered by kitchen retailers.

In Denmark, this ties in with the moderate number of car owners in major towns and cities who find travel ling to out-of-town outlets an inconvenience. By intro ducing central city stores with an assortment tailored to the needs of “city customers”, the new retail concepts are more adept at meeting customers on their own turf, in the process strengthening the market position of the chains with a city-centre presence. Central city outlets may also be seen as part of conven ience concept, which is becoming a more widespread retail sector trend, in this context denoting that the con sumer avoids an irksome trip to the suburbs. Should the concept gain serious momentum, it will first and foremost widen the selection of prospective tenants in prime locations in the centre of major towns and cities. So far, prospective tenants have here been mainly shop ping goods stores. This requires landlords to be alert to the renewed demand, offering flexible terms to also accommodate the demands of this new type of tenant.

New concepts in central city locations In central city locations, new concepts are emerging, or rather, big-box or space-demanding outlets traditionally located out of town with ample parking have now moved closer to a large customer base. This is exemplified by the Silvan DIY store at Kultorvet in central Copenhagen and at Viby Torv in Aarhus, replacing a former Nordea branch office. These shops are offering a pared-down product range of daily essentials whereas space-demanding articles continue to be offered in out of-town Silvan stores. In addition, kitchen retail concepts are increasingly relocating to central locations, albeit in showroom format, enabling the consumer to assess the products before ordering them for home delivery. A further example is Ikea, in 2023 opening a so-called city department store at Dybbølsbro close to Copenhagen Central Station. More than anything, the store will resem ble a showroom, with customers able to order furniture

Decline in online shopping in 2022 – across all age groups

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

13

14

15

16

17

18

19

20

21

22

16-19 yrs

20-39 yrs

40-59 yrs

60-74 yrs

Note: Share of Danish population to have shopped online within past three months. Source : Statistics Denmark, Colliers